Nepal : Support for Value Chain Development Under the Nepal Agriculture Development Strategy

Sovereign Project | 48218-007

The small-scale TA will conduct scoping of the proposed loan, Nepal: Targeted Value Chain Development Project (TVCDP), expected to consist of three major subprojects: (i) value chain development along selected geographic corridors and their commodities;(ii) organizational development of the provincial and municipal governments for the agriculture sector; and (iii) improved access to finance by agribusinesses. The small-scale TA will focus on the first two subprojects and provide inputs to the formulation of the TVCDP concept paper.

Project Details

  • Project Officer
    Rana, Arun S.
    South Asia Department
    Request for information
  • Country/Economy
    Nepal
  • Sector
    • Agriculture, natural resources and rural development

Related Projects

Project Name Support for Value Chain Development Under the Nepal Agriculture Development Strategy
Project Number 48218-007
Country / Economy Nepal
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 9444-NEP: Support for Value Chain Development under the Nepal Agriculture Development Strategy
Technical Assistance Special Fund US$ 225,000.00
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Gender Equity and Mainstreaming
Governance and capacity development
Knowledge solutions
Partnerships
Private sector development
Sector / Subsector

Agriculture, natural resources and rural development / Agricultural policy, institutional and capacity development - Agricultural production - Agro-industry, marketing, and trade - Livestock - Rural market infrastructure
Gender Some gender elements
Description The small-scale TA will conduct scoping of the proposed loan, Nepal: Targeted Value Chain Development Project (TVCDP), expected to consist of three major subprojects: (i) value chain development along selected geographic corridors and their commodities;(ii) organizational development of the provincial and municipal governments for the agriculture sector; and (iii) improved access to finance by agribusinesses. The small-scale TA will focus on the first two subprojects and provide inputs to the formulation of the TVCDP concept paper.
Project Rationale and Linkage to Country/Regional Strategy

ADB approved in July 2014 the concept paper for Nepal: Agriculture Sector Development Program (ASDP) for the total investment amount of $160 million, of which $40 million would be funded by the ADB, and the remainder by the government and other development partners. In the same month, a project preparatory TA was approved to develop a project design and conduct a feasibility study for the three ASDP components of: (i) rural road improvement; (ii) investments in markets and value chain development; and (iii) institutional and policy reforms to implement the national sector strategy. Ensuing consultations with the government on the project preparatory TA findings and the ASDP scope resulted in the following changes in early 2017:

(i) The financing modality of the ASDP will be changed from a sector development program to a stand-alone project loan, in view of the governments decision to allocate its own resources to finance ADS-related policy reforms (the third component).

(ii) The ASDP will be split into two stand-alone projects: Rural Connectivity Improvement Project (48218-003) for the first component, and Targeted Value Chain Development Project (TVCDP) for the second component.

Accordingly, TVCDP is included in the country operations business plan (COBP), 2018-2020 for Nepal for Board consideration in for $70 million as ADBs financing, together with a piggy-backed transaction TA to support project implementation.

The TVCDP concept paper is required to be reformulated for approval in 2018. The revised concept paper will not only integrate updated analyses on the corridors and commodity value chains but also adequately ensure complementarity with other major government-led, ADB-financed, and development partner-supported agriculture and rural connectivity initiatives which have emerged since the ASDP concept approval. The small-scale knowledge and support TA for research and development has become necessary to achieve the objectives of redesigning the TVCDP project scope, and revising the project concept in accordance with the new loan processing schedule.

Impact

Prosperous commercialization achieved in Nepal's agriculture sector.
Project Outcome
Description of Outcome

A well-informed concept on Targeted Value Chain Development Project prepared.
Progress Toward Outcome Consultants have been recruited and activities are ongoing.
Implementation Progress
Description of Project Outputs

Geographic corridors with commodities and their markets identified.

Preliminary analysis of the Targeted Value Chain Development Project completed.

Terms of Reference for detailed program design developed.
Status of Implementation Progress (Outputs, Activities, and Issues) Consultants have been recruited and activities are ongoing.
Geographical Location Nation-wide
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design Farmers were involved throughout the Project. They will participate in project preparation, implementation, and monitoring. During project preparation, small-scale farmers will be engaged in participatory rural appraisal to provide further details for the Project design. Separate focus group discussions will be held with the marginalized, especially the female farmers as well as SCs and STs, to identify their needs and tailor the design so that they can also benefit from the Project.
During Project Implementation Project activities involve participation of farmer producer companies and farmer groups.
Business Opportunities
Consulting Services The TA will provide expertise in (i) agribusiness and value chain, (ii) agricultural economics, (iii) agricultural trade and standards, (iv) marketing and business development, (v) agricultural sciences, (vi) rural infrastructure, (vii) economics/finance, and (viii) governance and institutional development. A total of 14.5 person-months of consulting services will be provided, of which 6.5 person-months will be international and 8.0 person-months will be national.
Procurement N/A
Responsible ADB Officer Rana, Arun S.
Responsible ADB Department South Asia Department
Responsible ADB Division Nepal Resident Mission (NRM)
Executing Agencies
Ministry of Agricultural Development
Timetable
Concept Clearance -
Fact Finding 06 Nov 2017 to 12 Nov 2017
MRM -
Approval 05 Dec 2017
Last Review Mission -
Last PDS Update 24 Sep 2018

TA 9444-NEP

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
05 Dec 2017 - 05 Dec 2017 31 Jan 2019 31 Dec 2019 31 May 2020
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
225,000.00 0.00 0.00 0.00 0.00 0.00 225,000.00 17 Jun 2022 178,935.90

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Evaluation Documents See also: Independent Evaluation

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Related Publications

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Tenders

Tender Title Type Status Posting Date Deadline
Agriculturist Individual - Consulting Closed
Marketing and Business Development Specialist Individual - Consulting Closed
Agricultural Trade and Standards Specialist Individual - Consulting Closed
Agricultural Economist Individual - Consulting Closed
Governance and Institutional Development Specialist Individual - Consulting Closed
Agribusiness and Value Chain Specialist Individual - Consulting Closed
Economist/Finance Specialist Individual - Consulting Closed
Rural Infrastructure Specialist Individual - Consulting Closed

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

None currently available.